The Pros and Cons of Buying New vs Used Equipment

The Pros and Cons of Buying New vs Used Equipment

To address the equipment needs of our clients in a wide range of industries that include construction, transportation, restaurants, and medical equipment suppliers, Universal Finance offers financing that keeps businesses on track to meet deadlines and avoid interruptions in the projects they are working on. Our creative financing programs and customizable payment plans provide borrowers with the funds they need to purchase equipment and obtain working capital.

When a customer comes to us to obtain financing, one question that often comes up is whether it is better to buy equipment that is new or used. Because every customer’s needs are unique, there is no right answer, but there are some general guidelines in most industries when it comes to buying equipment. Making the choice between new or used depends on the unique position of the business and what the short and long-term equipment inventory needs are.

One of the biggest pros of buying used equipment is the lower upfront cost. It’s usually the main reason a business chooses used. However, other pros include retention of value and lower insurance costs. One of the cons of buying used equipment could be the fact that the equipment might be in bad condition and will require ongoing maintenance. We always encourage our customers to really try out and inspect the equipment before buying so they don’t encounter this problem down the road.

Similarly, there are also upsides and downsides when it comes to buying new equipment. Among the pros of buying new include trouble-free operation, a warranty, up-to-date technology, and tax advantages. These advantages come with a big price tag, though, which is the biggest con for buying new equipment. Newer equipment also has a rapid depreciation of value compared to used equipment.

The bottom line is – there are many factors to consider when deciding whether to purchase new or used equipment. Each purchasing route has pros and cons, and these factors can be applied to the construction industry as well as the other industries that Universal Finance serves. The team at Universal Finance will work directly with you to provide the guidance you need to choose the right equipment for your business and to secure the financing you need to acquire it.

Click here to learn more about equipment financing or call us at 781-219-0511 to speak with a representative today!

2013 Takeuchi TB250

2013 Takeuchi TB250
With Hydraulic Thumb
Good Bottom
Quick Tach
Enclosed
4K hrs
Ready to work!
Price: $39,900

1998 Mack CL713 Tri-Axle Dump Truck

 

1998 Mack CL713 Tri-Axle Dump Truck
20k LB Front Axle
44k LB Rear Axle
20k Tag Axle
425/65-22.5 Rubber
New Rear Axle W/ New Carrier
350HP Mack Motor
440,000 Miles
13 Speed Maxitorque Transmission
Double Framed
17FT Dump Body W/ Hydraulic Tarp
Ready to Work!
Price: $38,900

2000 Peterbilt 378

 

2000 Peterbilt 378
CAT 6ZN – 475 HP
100k on Motor
1.1 mil on Truck
New Clutch & Trans
46k Eaton 3/4 lick rears
4.11 ratio
Air Trac Suspension
Single Frame
Air Ride Cab
Good Tires & Brakes
Strong Runner
Two Line Wet System
Price: $32,500

1987 Autocar DK64B Tri-Axle Dump Truck

 

1987 Autocar DK64B Tri-Axle Dump Truck
Big cam 3 – 300 HP Cummins
Jake Brake
14608ll
20k Fronts
20k Pusher
44k Rears – Rockwell Susp
250k Original Miles
Runs Good
Cab Clean
Newer Front Fenders
17′ Steel Dump Body
Frame is spreading
Needs rear springs
Price: $12,500

2006 Peterbilt 379 Sleeper Tractor

 

2006 Peterbilt 379 Sleeper Tractor
18 speed
475 Cat Motor
65% Michelin Rubber
High/Low Pressure Hydraulics
One driver
Low miles – 600k
Brakes Good
Ready to work!
Price: $63,900

2011 Reitnouer Tri-Axle Live Floor Trailer

 

2011 Reitnouer Tri-Axle Live Floor Trailer
Heavy Duty Keith Live Floor
Mint Trailer and Floor
Air Ride with Lift Axle
Barn Door and Rollover Tarp
Price: $57,900

2010 Prentice Skidder

 

2010 Prentice Skidder
Four Way Grapple with Winch
Ready to Work!
Price: $24,000

 

2006 John Deere 753G Feller Buncher

 

2006 Deere 753G
New U/C
Deere WF22 Head
Strong Machine
15,000 hours
Ready to work!
Price: $69,900